Many individuals and families are carefully considering buying health insurance. It is important to know what you are buying to get a product that is right for you. The first step towards buying health insurance is acknowledging your need for insurance. If you have a pre-existing health condition, you are better off avoiding the individual market. Therefore, you need to find out your eligibility for different programs.
How to buy health insurance
· Research on health insurance
If you are considering insurance, it is advisable to start researching with websites that explain the basics. The right website will help you gain an understanding of the language and concepts of health insurance. Many of these concepts may not be easy to grasp. Once you gain an understanding, you will be in a position to ask questions about any plan. Some of these websites provide you with quotes from carefully chosen partners involved in the business of health insurance.
· Seek for professional advice
You should avoid choosing plans based on online research alone. You need professional advice to guide you through the process of understanding different plans and comparing options. A professional will make sure you are buying health insurance and not other products. They will check the state regulator where the company sells its product to determine whether it is a legitimate insurer. They will advise you against purchasing limited products like temporary insurance, which often last for a short period. Such plans are discouraged because they cannot be renewed.
· Consider the cost of insurance
As you examine policies, do not major sorely on premiums. Consider other fees likely to be incurred including the costs of doctor visits. Determine the annual out-of-pocket maximum of the policy that accounts for the maximum amount you are likely to spend annually, because some charges may not be counted in determining the total. Some of the insurance companies expect you to keep track of your spending and to inform the insurer when you have attained your maximum. This is likely to prove problematic.
· Consider your deductibles
Examine the fine print pertaining to your deductibles, which is basically the money that needs to be laid out before the insurance company starts paying. Some of the health insurance policies have multiple deductibles, which accounts for each family member. Furthermore, the insurance companies may fail to consider certain expenses towards the deductible.
· Determine the benefit limits
Consider the benefit limits such as the annual maximum payouts. Policies that cap the payouts can prove dangerous because you may end up incurring thousands of dollars of medical bills if you have a major illness. Some of the plans cater for a set fee daily of the hospital stay, leaving you with thousands of dollars to pay. Drug benefits may not include every medication while some policies may exclude maternity coverage. They may also exclude care for any pre-existing conditions.